Monday, November 2, 2015

Why The 'Best Dealership Awards' Are Phony

 
 
Well, this story definitely hits close to home... In fact, it hits so close to home that I actually participated real time in exposing an apparently corrupted system of honoring some dealers as "Best Dealerships To Work For 2015".

Let me set the stage for you as this occurred somewhat by happenstance.

In early 2015, I had recently left a position as a General Sales Manager at a domestic dealership about an hour away from home. I commuted each day and had the pleasure of picking up my Sales Team Leader everyday on the way and discussing the day's plan. But like so many other dealers prompting me to publish this definitive blog, the dealership was wrought with integrity issues that I was trying to root out. Unfortunately, the dealer (with whom I had a very clear initial understanding of my refusal to engage in any illicit activity in the interest of operating his dealership) decided that the "old way" of doing business was the method of choice for him and his cronies. Needless to say, the relationship did not last long, and that may be the subject of another informative article.

After my fortunate separation with my former employer, I ran into a former employee of mine at a local luxury car dealership in my picturesque hometown. It is also a big car town for dealers with respect to dealers per capita. All the "car guys" know each other or know of each other, and you seemingly cannot sneeze without the news making its way through all the city's dealerships within 24 hours. I never liked that aspect of the business, whatsoever, and did all I could to avoid it. But, I digress.

So, I find myself in a lull looking for yet another position on the Car Business Merry-Go-Round, when I happen to run into my friend who is working as a sales consultant a local luxury dealership. He's a great guy and is actually a trustworthy, ethical person to whom I would refer most customers. During our conversation, I enquired as to whether any positions might be open at the newly renovated dealership complex. He explained that he believed that there may be a position available in fixed operations and that he would check for some information and get back to me. He did just that.

Within a few days of communicating, I was advised that the dealership was seeking out a service advisor for the luxury dealership. After spending eight years of my career with Lincoln Mercury, I was a sure fit for the clientele, and I was certain that I probably knew some of the customers. And while this subordinate position was many levels beneath my last position on the hierarchy depth-chart, my first job in the business was as a service advisor at a Nissan dealership. It was well-within my skill set, and I am not above taking the position. By the way, it is important to note that the car business is pretty unique in that you will see a guy working as an executive general manager overseeing four brand plates one month, and three months later, he is a salesman at some independent buy here/pay here operation. Not a positive for the business to say the least.

I soon began communicating with the Parts and Service Director at the dealership regarding a position. Numerous emails, some phone messages, and a few personal visits finally got me in front of my potentially new supervisor and seated with a formal job application and resume submission. This gentleman was apparently a former employee of the group and was brought back to the newly renovated facility in a capacity that he was not really qualified to fill. Again, it is noteworthy to mention that another unique characteristic of the car business is that you will see an employee terminated sometimes for a serious breach, but they somehow manage to weasel their way back into that same dealership a year or two later like they had gone through some miraculous change in character. Yet, another aspect of the business that never ceases to amaze me.

After weaving through the protocol of resume, application, driving record, drug screen, interviews, and cake recipes (like I was going to work at the Pentagon) I finally received an offer to discuss terms of employment. While the terms were certainly not ideal at all, given the lowest compensation percentage I was ever offered, I took the high road thinking I would quickly prove myself and move up the ladder expeditiously. I mean, someone had to subsidize the dealer principle's lavish tastes of custom tailored suits, a yacht, aircraft, a few limousines, and the obvious driver. And, he LOVES to read about himself in the paper.

One with my experience and tenure in the business should also be compelled to mention that the normal carrots of "advancement" and "more money" and blah, blah, blah were reeled surreptitiously before my face to induce my acceptance of a rather pathetic and inequitable pay plan. But, the good news was that it was an honor for me to be accepted into the organization and that it was a privilege to work there. Hey, they had a gym and a couple tables with real umbrellas out back, too! LOL!

I promise you that this story will start moving much more quickly at this point, but I think it is important to give you the background and tone.

So, I receive my start date and prepare myself to begin my new fulltime position as a service advisor.

As is the case in nearly every dealership with whom I have been employed, this dealership was not only filled with the usual drama that you find in all dealerships (and in fairness most businesses) but this place had a much elevated dramatic climate. In fact, within about a week's time, due to the fact that most people had found out about my background, I was being inundated with complaints from many co-workers who were confiding in me their dissatisfaction with management and ownership.

Naturally, I have listened to many of these types of complaints in the past while coaching and counseling employees, but I don't think I have ever heard this many negative complaints about a dealer group who purports to be a "Best Dealership to Work For". That is when my ears perked up, and I began to see a real conflict between employee satisfaction and a supposed "award winning" dealership.

Fast-forward a month-and-a-half or so.

I am not only still hearing complaints, but I am hearing more of them. Furthermore, I am seeing turnover ensue and threats of resignation from both fixed and variable operations employees. My co-workers look pressured, in a state of unrest, frazzled in many cases, and sometimes just miserable. But, how could this be? There is a gym upstairs! It's a beautiful facility!

Lesson 1 - a pretty working environment doesn't necessarily make for happy employees.

Before you know it after about 45 days, I am called on the carpet about a matter with which I am unaware. As I alluded to, I agreed to certain things when I accepted the position and was promised certain things. Welcome to the car business where seemingly all promises are a delusion of granduer not to be beholden by the intelligent.

You got it! Next thing you know, I am already being asked to "step up to the pump" and asked to report for duty to our non-luxury domestic line dealership in the complex the next morning as they had yet another incident of turnover. Nope, this is not what I agreed to! In fact, I had just become acclimated to the luxury line protocol, warranties, policies, etc. and, frankly, I was by far the most experienced employee in the department, as well as the most ideally suited for the clientele in my professional judgment. And, don't get me wrong, I liked my coworkers, but facts are facts.

For me, personally, this is when things started to fall apart, but now I was in a logistical environment where I could physically see why and where all the negativity, turnover, drama, and turmoil stemmed.

As in most cases, the problems started from and persisted from the top. Remember, Trickle Up Stupidity. In this case, it was very simple to find the root cause. This was a company who loved titles! Director of this. Vice President of that. Oh yeah, really big on these ego-boosting meaningless vanity titles, but it says a lot about substance or lack thereof of those who thrive upon titles rather than actual performance.

So, I began to examine the guy at the top - at least within our complex. He was a guy who worked as a sales consultant within the dealer group and was not very successful. He is a fairly young guy who simply lacks people skills. He is not a person with a positive aura and not the motivator that you would expect to hold a VP of Operations title. In fact, he was quite rude to employees (including myself) on a number of occasions during my short four month stay. I was not impressed, nor were any of my co-workers apparently.

Wow, I can see that you are pretty perceptive. You noticed right way that this guy was a sales consultant and then all of a sudden a VP of Operations? Is that right? Yes, you are correct. The dealer principle supposedly took a liking to this young man and decided to fund some graduate scholastic work while promising this wonderful VP position upon completion.

Now, one may say, "hey, that was a nice thing for the dealer to do." And, yes, I would agree I suppose. Notwithstanding, however, this young man is in no way, whatsoever, prepared nor qualified to undertake the supervisory nature of overseeing two car dealerships. That is most certain. But, here is yet another amazing aspect of the car business: whether a result of nepotism, favoritism, or sheer ignorance, I have seen umpteen dealers take someone with zero experience or qualifications in the business and baptize them with a position and the responsibility to which I allude. It is disastrous every time.

So, there is the guy at the top, but don't forget that he answers to bosses as well. Of course he does as he meets almost on a nightly basis at a ridiculously priced restaurant downtown where the dealer principle regularly holds court with puckered lips reaching for his backside trying to posture and keep their jobs.

Lesson 2 - The car business is overwrought with ridiculous egos maintained by guys who some way, some how fell into making money in the business, but who typically surround themselves with the usual ass-kissing sycophants.

As you can deduce, these management types are going to do the expected and surround themselves with other managers who are not a threat to their job security and who fall in line as corporate soldiers goose-stepping to the Kool-aid line. I would also point out that this current VP of Operations is just one more guy to become a former employee like so many before him. By all means, take a guy who was not even a good salesman and let him oversee two dealerships. What are these people thinking?

Well, as time moves forward, I honestly start to get tired. I am up at 6:15 am every day, in the service lane at 7:30 am, rarely if ever take a lunch, and leave at about 6:10 pm for home. Now, I have worked 12-hour days, but this position brings with it constant stimulation. So, at the end of my day, I am exhausted and in bed by 7:30 pm. To me, that is really no way to live, and the fact that I am that exhausted given my physical prowess is troubling. I work to live, not live to work.

What is wrong with this picture is that I agreed to a 5-day work week! "Stepping up to the pump" meant that I (and my coworkers) were subjected to 11-day bi-weekly work schedules. In other words, we had a weekend one week and only Sunday the next.

Folks, as an automotive expert, I can tell you in no uncertain terms that this type of schedule is ruinous to productivity and morale. What's worse is that upon mentioning it to my supervisor, he acted like I had a horn growing out of my forehead. In other words, he lied about the schedule.

Now, I am about three months into this position. I am producing good numbers, and I do like my co-workers - which is the sad part of leaving. They respect me for my knowledge, but I am getting very testy about scheduling issues, watching technicians drop like flies, lack of training, co-workers who are clearly having to medicate themselves to make it through work, poor and demanding attitudes from uncaring supervisors, and no care or concern for this scheduling issue to which all of these poor folks are falling victim. To make matters worse, I just don't have the personality that allows me to deal with incompetence for too long.

What I am wondering is how in the world is this group allegedly voted a "Best Place To Work" when (according to other employees) everything within my professional judgment tells me that this is one of the worst places I have seen to work?

Now, I remember!

Almost right after I began my employment with the company, I had an Employee Satisfaction Index Survey (ESI Survey) shoved in front of me with my supervisor advising me that I "needed to fill this out" and that "everything needs to be answered completely satisfied" or "I would be fired..." I heard similar warnings articulated to a couple of other co-workers making it very clear that this survey was fixed. At the time, I was not advised as to the impending or intended use of the results, and I was simply busy with other issues within the dealership.

In hindsight, while I had taken these surveys before, they were always issued for internal and corporate group results. In this case, the results were apparently very important to the dealer as he was vying to be named a "Best Dealership To Work For" which is then published in the national trade publication, Auto News. Thus, it became obvious why my department head was so emphatic about having skewed positive results returned by subordinate employees. Obviously, his supervisor in charge of fixed operations and his supervisor, the VP of Operations and so forth, were all insisting upon positive results no doubt for the self-aggrandizing dealer. Sickening...

Very recently, some three months removed from my resignation from the organization, I happen to see a proud sponsored posting on Facebook touting a local dealer who had been awarded this illustrious title. And the truth is that this type of title can actually be very valuable from a marketing and advertising standpoint, but also from a talent acquisition standpoint. A winning dealer can fly this flag of being a "Best of" while reaping the financial return that hopefully comes along with the award.

But, is this type of coerced ESI survey fair to another dealer who insists upon doing things quite the ethical way, assuming that those dealer exist? Obviously not.

Upon hearing about this "award", I began a bit of research and contacted the organization who provides the surveys, evaluates the results, and bestows the titles. Needless to say, I showed a great deal of concern about the results of these surveys and advised this company that I had directly participated in the ESI survey process at my former place of employment. Furthermore, I advised their representative that I and other employees were coerced to answer the questions in a positive manner for fear of retaliation at work.

The results of my complaint are these:

1) Companies pay entry fees of a few hundred dollars to be evaluated for these titles.

2) According to the representative, they take allegations of "cheating" very seriously and will disqualify an applicant if necessary.

3) My particular dealership was NOT one of the "rooftops" awarded. (*** The dealership is under a group umbrella and supposedly EACH franchise must be entered separately for consideration of these awards. However, the company named to the awards would indicate the entire organization.)

4) I was advised by this company that due to "privacy" concerns they could only communicate so much information, but acknowledged that they could not confirm, but would not deny that "a company" could be disqualified in the process, but they could not divulge it.

Hmmmm.....

My take on these type of awards is that the results may be well-intended, but like anything political or any contest requiring money be exchanged, there is a likelihood that results are not completely indicative of actual performance.

The company with whom I spoke were cooperative in their communications, especially when I indicated that the story may be communicated in an upcoming article. I don't blame them.

My analysis, while partly opinion, is that this company attempts to the best of their ability to categorize and rank these "Best of" car dealerships. Yes, they do require fees, but in fairness, they are providing a service and have to process results which is an expense. More importantly, it is definitely possible that companies can coerce employees to answer cooperatively in order that results be positive for their company. Obviously, that is unethical and more commonly known as cheating.

In my case, I was asked to complete my survey positively while having passive-aggressive threats of termination hurled at me. I also witnessed my fellow employees enduring the same threats. Given the climate at the dealership, I am not surprised. But, this is indicative of yet more ethical concerns we should have about car dealerships.

So, the next time you hear about your local "award winning" dealer, just be aware that the "award" may or may not be deserved.

Copyright 2015, All Rights Reserved.






No comments:

Post a Comment